(Source: The News & Observer)

By David Ranii, The News & Observer, Raleigh, N.C.
Aug. 25--Software developed at IBM's Research Triangle Park campus is being used to help ensure food safety and freshness and prevent counterfeit prescription drugs from reaching consumers.
Last week, IBM's sensor software business unveiled a product that is the culmination of years of work with hundreds of customers, including Airbus and Volks wagen. Its WebSphere Sensor Events software can be used by many industries.
"It is a compelling offering," said analyst Michael Liard of ABI Research, a technology market research firm. "This is really going to open up some new opportunities" for businesses to use sensor technology.
The software connects data from sensors of all types -- whether the data are obtained by scanning devices or wirelessly from radio frequency identification tags, or RFIDs -- with the software that businesses use to run and analyze operations.
Merging sensor data that pinpoint an item's location with business software that includes order and delivery dates enables a supplier to trace, say, a chicken from the farm to the supermarket. A supplier could receive automatic alerts if the delivery is held up. Sensors that track heat and humidity can be monitored to ensure it arrives in good condition.
IBM analytics software, meanwhile, extracts data from the sensors to analyze the distribution process and suggests ways to cut waste and inefficiency.
"When you start to add intelligence to your processes, you can do things a lot smarter," said Brian Dalgetty, director of solutions development for IBM's sensor software business. IBM partners with companies that make sensors and reading devices.
Winning converts to the software during a downturn won't be easy, but Dalgetty is confident that opportunities exist.
"Right in the middle of the recession is the best time to step back and think: How can you be smarter and make better use of the assets you have?" he said. WebSphere Sensor Events can cost $20,000, $150,000 or more, depending on the scale.
IBM's sensor software group has about 175 workers, including about 30 in RTP.
IBM doesn't disclose revenue for the sensor software group, but it's a small piece of its software business, which generated more than $22 billion in revenue in 2008. Dalgetty is optimistic that business will blossom because of the new product and the growing use of sensors, which can cost just pennies apiece.
A California drug supplier, Golden State Medical Supplier, recently announced plans to use IBM's software to combat counterfeiting and keep track of prescription drugs in accordance with a new state law. Norway's largest food supplier, Nortura, is using it to track meat products through the supply chain. Volkswagen completed a one-year pilot project and is using the software to improve the flow of parts from suppliers.
Dalgetty contends that the software's ability to work with sensors on millions of items and its application for a variety of industries distinguishes it from competing products from companies such as SAP and Microsoft.
david.ranii@newsobserver.com or 919-829-4877
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